Quora Answer: Is Taking Money from a Credit Card for Investing a Good Idea?

The following is my answer to a Quora question: “Is taking out money from a credit card for investing a good idea?”

That is a terrible idea.  The interest rate of the credit card is likely to exceed the return of the investment.  Also, there is the chance that the investment fails, which would compound the problem.  Credit cards are meant for short term credit, when there is a lack of liquidity to make purchases or pay bills.  They are structured such that should you exceed the credit terms, the interest is punitive.  Investments are never short term.  Even the shortest investment horizon exceeds the longest credit period of a credit card.